Skyrora: go for launch?

History was made on 24 July 2025 when the UK's space regulator, the Civil Aviation Authority, issued Glasgow-based Skyrora with the first ever licence for vertical rocket launches by a UK company from British soil. 

The licence

Skyrora's licence has been issued under the CAA's powers conferred by the Space Industry Act 2018 and the Space Industry Regulations 2021.  The licensing process itself has taken almost two years, with Skyrora submitting its application to the CAA in August 2023. 

The licence permits Skyrora to carry out one launch of Skylark L, Skyrora's single-stage guided rocket, from SaxaVord spaceport, Shetland.  The licence also envisages a maximum of 15 additional launches by Skyrora within a 12-month period, each of which is subject to further review and approval by the CAA.

The authorization granted by the licence is strictly limited to suborbital spaceflight.  This covers spaceflight that takes place over 100km above sea level, but that does not reach escape velocity and that does not enter into the Earth's orbit.  This is enough, however, to allow Skyrora to provide a platform for commercially valuable experiments in microgravity via Skylark L.

Launch conditions

Before each launch, the licence requires that Skyrora must take the following steps:

1. Provide the CAA with its final plans for the launch range, including identification of possible hazard areas.
2. Enter into a data-sharing agreement with the National Space Operations Centre to cover information generated by the launch.
3. Ensure that any arrangements it has entered into with foreign countries are not contrary to the UK's national interest.
4. Obtain sufficient insurance to cover both Skyrora and, among others, the UK government (as an additional named insured) in respect of any damage caused by the launch.

The obligation to include the UK government as a named insured party reflects the UK's obligations under the Liability Convention 1972.  This makes the UK, as the relevant “launching state”, strictly liable for any surface damage caused by space objects launched from the UK.

The amount of insurance required by the licence is limited to £10.5 million per launch.  This mirrors the level of indemnity that Skyrora is required to give to the UK government.  This in turn provides an important cap on Skyrora's liability, which could otherwise be unlimited.  

The UK government recognises that such a cap is necessary to make launch commercially viable in the UK.  It is currently taking steps to make liability caps mandatory through the Space Industry (Indemnities) Bill 2025, which is currently being scrutinised by the House of Lords.

Small step or giant leap?

As the CAA itself has recognised, this is a huge milestone for both the UK space industry and the nation.  It marks another important step towards the development of a genuine domestic launch capability for the UK.  It also reflects the vital importance of Scotland, in particular, to the UK's bold vision for space, as recently revealed in the government's new industrial strategy, published in June 2025.

This development is also testament to the effectiveness of measures taken to foster the growth of the NewSpace industry in the UK and Europe.  Among other things, Skyrora participated in Seraphim Capital's “Space Camp” accelerator in 2019, and since then it has been the recipient of generous levels of funding from the European Space Agency as part of the latter's “Boost!” programme.

What next?

It is anticipated that Skyrora's first launch from SaxaVord will take place in Q1 2026 at the earliest. If that mission succeeds, it is likely to be followed by further launches by Skyrora.

A successful launch may also pave the way for launches by other companies that are currently developing their own launch vehicles to deploy from SaxaVord.  These include Orbex, and HyImpulse Technologies, both of whom hope to launch orbital rockets from SaxaVord in the near future.  Another company hoping to launch its rockets from SaxaVord, Rocket Factory Augsburg, was granted a vertical launch licence by the CAA in January this year, but is yet to do so.

Regardless of whether Skyrora's first mission succeeds, the grant of the first vertical launch licence to a UK company will provide confidence to the industry that the CAA is serious about fostering a domestic launch capability in the UK.  It may also encourage other UK companies to enter the race to become the UK's answer to SpaceX.

To learn more about the UK's licensing regime for space activities, the funding opportunities available for NewSpace companies, or anything else mentioned in this article, please contact a member of our space and satellites team.  

Please also see our UK chapter in Chambers and Partners Space Law Guide 2025 for a comprehensive overview of the UK's legal and regulatory regime for space.

"Granting a home-grown company, Skyrora, its launch licence is a major milestone for our space sector and our nation."

https://www.bbc.co.uk/news/articles/c3r4n7qd5yzo